CLEVELAND, OH -- (MARKET WIRE) -- August 16, 2005 -- US demand for cosmetic and toiletry
containers is projected to increase 2.6 percent per year to 24.7 billion
units in 2009. In dollar terms, sales will climb 4.7 percent yearly to
$3.8 billion. Container advances will reflect healthy prospects for
cosmetic and toiletry product shipments coupled with favorable population
age distribution trends and the ongoing development of nontraditional
distribution channels. Growth will also be fueled by a steady rate of new
product introductions with improved performance features and/or
appearance-enhancing attributes. These and other trends are presented in
"Cosmetic & Toiletry Chemicals," a new study from The Freedonia Group,
Inc., a Cleveland-based industrial market research firm.

Among material types, plastic will register the fastest growth through 2009
in both units and value, with demand projected to increase 3.1 percent per
annum. Plastic will continue to increase its stronghold in cosmetic and
toiletry packaging based on a combination of favorable cost and performance
characteristics. Expansion will arise primarily from new product
introductions and relaunches of existing products that use new packaging
designs. Technological and resin advances offering improvements in
container aesthetics and performance will enable plastics to further
penetrate prestige applications.

While below-average prospects are anticipated for paperboard, glass and
metal cosmetic and toiletry containers as a result of market maturity and
competitive drawbacks, areas of opportunity will exist for each. Rapidly
expanding segments such as tooth whiteners and wipes will provide some
upward momentum for paperboard containers despite ongoing source reduction
efforts aimed at holding down the use of secondary packaging. While a weak
outlook for glass containers will be the result of inroads by resins, glass
will continue to hold its niche in cosmetic (e.g., nail enamel) and
fragrance uses. In the metal segment, aluminum containers will log
above-average gains.

Hair care, skin care and oral hygiene were the three largest markets in
2004, together accounting for over two-thirds of unit demand. Through
2009, the fastest growth is anticipated in the skin care and liquid soap
markets. Skin care product container demand will benefit from healthy
expansion in the over-45 population, which will continue to fuel robust
sales of skin creams and lotions as well as non-drying skin cleansers.